State revenue challenges continue
July 13, 2017
The state may have to cut another $104 million from the 2017 fiscal year budget according to a new report recently released by the Legislative Services Agency. The report highlights the largest factors for the deficit are lower than projected revenue growth and lagging sales tax receipts. Gov. Kim Reynolds has the authority to borrow up to $50 million from the Economic Emergency Fund, but any additional cuts would require her to call for a special session later this fall. The governor has said that she will wait to call for a special session until after the 2017 fiscal year officially closes the books on Sep. 30. The Revenue Estimating Conference is likely to meet in the fall and must meet at least once before Dec. 15 to provide further revenue projections. Read more from the Des Moines Register.